Average Health Insurance Cost
Healthcare is expensive if you do not have the right health insurance. Even though the US healthcare system is one of the best in the world, its citizens have to pay a lot of money just to get the right treatment each year because of high standard care and insufficient free universal government healthcare. Health insurance will make them affordable by reducing overall medical costs. But what is the cost of healthcare this year? We will tell you that in this post. The average health insurance cost is not unreasonably high. But it all depends on the coverage plan you have obtained.
The Cost of Health Insurance
Most individuals sign up for Obamacare plans. They are required by law to prevent tax penalty for not obtaining this type of coverage. The penalty, however, will be gone starting in January 2020. That is, you will not be penalized for not having a kind of medical coverage.
Under Obamacare or Affordable Care Act plan, the average cost of health insurance is $440 a month. It is the monthly premium that you are required to pay for your plan to get activated. Plus, you will have to settle the deductible, which can cost thousands of dollars. Each year, you need to pay for that deductible. Else, your coverage will not start.
The numbers we have given you are the average costs from individual medical insurance policies. If you wish to obtain a family health insurance plan, then you must pay an average of $1,168 a month. The cost of these policies varies depending on the size of your family and the plan you get. However, it still varies on the carrier you choose. Keep in mind that private insurers are free to choose the rate for their plans.
The diverse rates would mean that you can choose a plan that can further help you save money. But you need to compare some prices before making a final decision. Bear in mind that most insurance companies are offering identical policies. You can obtain Obamacare healthcare policies for as low as $100 a month.
The rate we have provided here did not include the government subsidy. Therefore, if you are entitled to it then it could surely give you more savings.
Another health insurance to help you save money on healthcare without having to spend more is the short term health insurance policy. It is a plan that can give you limited coverage within a short amount of time.
The short term policies can offer streamlined coverage. It is not as powerful as the Obamacare plan or major medical policy. It means that it is not as extravagant as the major healthcare policies because of the many unnecessary expenses that they include.
When you choose a short term health insurance policy, you will get to pay around $100 a month. Price disparities will depend on where you live and the plan you want to obtain. Some plans are cheap that can go as low as $40 or $50 per month. You need to choose the right provider to get a competitive rate for the plan you want to purchase. With the right carrier, you can have as many perks as you want.
However, if you obtain a family plan for short term coverage, then expect to pay around $3,000 a year. But such cost is lower than the average Obamacare policy. In that case, a short term plan is relatively cheaper than the Obamacare plan. The price differences are incredible. You can get savings of thousands of dollars a year on your health insurance when you opt for the short term plan, rather than the major healthcare plan. Compared to Obamacare, short term plans are way cheaper.
Knowing How Short Term Plans Work
We will talk about how short term plans work and how they can assist you. Short term plans are limited to 364 days of coverage. Some plans are shorter than a year while others can help you cover for one month.
As you sort through the lineups of these plans, you can pick the length of plan that you want based on your medical needs. The providers limit their plans according to the federal guidelines that regulate these plans.
You can renew your short term plans for up to 36 months. However, there are restrictions on how you can renew them and they can vary from one state to another. In some states, for example, you can only have a maximum of 18 months.
For some individuals, the average medical insurance can be high. Short term plans, on the other hand, are much cheaper. For that reason, they can afford to obtain those more economical plans. As for the coverage, they can include nearly the same medical expenses as a major health insurance plan. However, they are limited.
Under Obamacare policy, carriers are required to give coverage for 10 essential medical expenses. But short term plan is not mandated to include those essential expenditures. However, it may cover your dental and some emergency healthcare treatments.
Short term plans can handle your preventative treatments, hospital stays, medications, x-rays, visits to your doctor, and several others. Every career can offer a wide array of plans that you can pick from. If you cannot find the policy that works best for you, then you can always move to another carrier and search from there.
You may use our site to help you out. It is a free search tool that you can utilize to explore the different rates on short term plans. From there, you can compare policies from different carriers. It is the quickest way to find an excellent deal and make sure that you will not pay too much for your short term plans.
For short term plans, you can have many options for carriers. You can go for Pivot, National General Accident and Health, as well as United Healthcare. They are some of the companies that offer the most competitive prices for short term plans. Furthermore, they offer excellent customer service. Not to mention, their great member perks.
Should You Consider Short Term Plan
Short term health insurance can help you save money when you compare it to other types of healthcare plans, like Obamacare. However, they are lower coverage policies.
These are not designed to last for a long time. Furthermore, they cannot give you a permanent solution to your medical insurance needs.
Then again, these plans are ideal for some situations. For example, if you are between major health insurance policies, you may not get the coverage that you need. Because of the risk of not having coverage even for a short amount of time, a short term plan makes a lot of sense. It can provide you the needed coverage.
Furthermore, you will get coverage even the day after you have applied. As you wait for a longer-term plan, you can have the essential coverage for your needs.
A short term plan is also ideal for a self-employed business owner. If you have a small business, you cannot have employer benefits. Thus, you can get coverage from having a short term plan. It can give you proper coverage until you can find a permanent health insurance option.
This plan is also ideal if you do not qualify for the plan that you wish to obtain. For instance, if you wish to register for Medicare or COBRA and you are not qualified, then you can get a short term plan. It is true to some people who are not qualified now but they may qualify later on. While waiting for them to be eligible, they can obtain short term coverage to fill the space.
Other several reasons make short term plans an ideal option. We want to reveal the savings you can get when you choose a short term plan. When you compare the average health insurance cost, you will find out that a short term plan is cheaper than other major health insurance plans.
To find out more about the health insurance marketplace, you may use our website. As you compare prices, you will find that the short term plan is the most affordable healthcare coverage available.